There are at least five reasons why some young professionals are broke. The yuppies or the urban professionals have a reputation for elite clubbing, partying, shopping and keeping up with a posh and lavish lifestyle.
The reasons are really simple. First, simply because they are young. They do not think about insurance and security and this point in time. Young people are generally restless, so they spend more without caution and without taking tabs of it. They unconsciously burn money away even on non-important things.
Second, they spend more than they earn. Young people who are earning always have this habit and they cannot help themselves, even if it means that they buy more than they can afford. The end result is that they end up in debts and credit card loans.
Third, the youth loves to travel. They like to explore and have fun. They do not wait for something to happen; they go out and seize the day. Exploration means expenses.
Fourth, they have friends who are also young professionals who equally do the same. The tendency is that if they belong to a group of people who tends to spend money on parties, games and other unnecessary items, they are likely to be broke.
Lastly, young ones who are professionals do not really have long term goals. They live for the moment and savor their success. They want to enjoy the fact that they are young, that they are paid well and that the world is at their feet. Anything can happen because they feel that they can afford it. They make the mistake of spending way too much cash without saving or investing, without protection and security, in case they suddenly go broke. As a result, they see themselves dealing with debt relief grants and debt consolidation quote during the early stage of their career.